USD/CHF advances further towards 0.9800 post-Swiss CPI

The USD/CHF pair extends gains beyond 200-DMA and now heads for a test of 0.98 handle, as the US dollar finds renewed bids as we step into the European session.

USD/CHF extends further on Swiss CPI

Currently, the USD/CHF pair trades 0.35% higher at fresh session highs of 0.9778, with a test of 0.98 handle now inevitable. The USD/CHF pair caught a fresh bid-wave as the Swiss franc was hit badly by a softer Swiss CPI print. Switzerland CPI for Sept stood at +0.1% m/m vs +0.2% expectations and -0.1% previous.

Moreover, fresh buying witnessed in the greenback against its major peers also spurred fresh rally in the USD/CHF pair. The USD index now rises +0.21% to 96.34 levels, as against +0.10% seen earlier.

Next of note for the major remains the US weekly unemployment claims data due later in the NA session, while the payrolls figures will be published on Friday.

USD/CHF Technical Levels

To the upside, the next resistance is located at 0.9820/29 (Aug 20 high/ 5-week high) and above which it could extend gains to 0.9850 (psychological levels) and 0.9889 (Sept 1 high) next. To the downside, immediate support might be located at 0.9735 (20-DMA) and below that 0.9700 (round figure) and from there to 0.9643/35 (Sept 30 & 2 low).